Assume the Initial Financing Provided by a Lease Is $100,000

question 47

Multiple Choice

Assume the initial financing provided by a lease is $100,000 and the present value of the cash outflow attributable to the lease is $90,000. Then the net value of the lease is:

• A) +$10,000
• B) -$10,000
• C) $190,000
• D) None of the above

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